Methodology of the DITM Vertical Bull Call Spread
- Thread starter yucca_mtn
- Start date
Heh. Vol 1 is "Free"...
And I mean, cummon. You say you visited the option forum on ET for awhile? Didn't you know this "amazing secret method" would be ripped to shreds?
Sorry, man. You seem like a stealth spammer.
Hope I'm wrong.
http://cgi.ebay.com/Smart-Peoples-G...QcategoryZ3784QQcmdZViewItem#ebayphotohosting
The Smart Peopleâs Guide to High Yield Investing, Vol 1.
An incredible new investment strategy that makes VERY HIGH ANNUAL YIELDS a realistic and attainable goal for average folks, like you and me. Investment safety is UNMATCHED when the strategy is properly implemented.
Iâm writing this small (but very intense) book for people like me, just average people who have been screwed by our stockbrokers so many times we think itâs normal. Our investments are either losing money or barely staying ahead of inflation. We are not likely to get a pension from any company, so how are we to achieve a comfortable retirement? The President tells us we need self-directed saving plans. Well, we think, thatâs just fine â but if the so-called professional investment brokers canât, or wonât, make our savings grow, how are we to find the time to learn how to become great stock-pickers and investment gurus? We have jobs, families and problems that we need to deal with now!
Think about this hypothetical situation:
You give a broker $400 plus $1.50 commission to âbuyâ for you a gizmo.
So your cost is exactly $401.50 to buy this gizmo.
Now, six months later the gizmo just disappears, and $500 suddenly appears in your account. Wow, you have made nearly 25% profit in six months, hypothetically of course.
The only thing that would prevent you from collecting the $500 is if the stock price of Gizmo, Inc suddenly lost 25% of its value in one really bad day. (Gizmo, Inc is well known as the largest, most profitable corporation in the whole world, with a market capitalization of 4.6 trillion dollars, and a P/E ratio of 10.)
Read those two previous paragraphs again, and really think about it. Iâm saying you can make a 25% profit in six months â thatâs 50% per year, Right? And Iâm saying that if this gigantically strong company doesnât loose 25% of its stock price during this six month interval, then you will absolutely make that profit.
So decide right now, would you spend that $401.50 under these hypothetical circumstances or not? If you decide you would not, then stop reading right now. I canât help you.
Well, you say while wearing a very skeptical expression, âThis is the real world, very much NOT hypotheticalâ. Yes, Ladies and Gentlemen, it is the real world. So, in this real world, what is there about this hypothetical situation that is not real?
Well, the $400 investment is real!
The $1.5 commission is real!
The $500 return and $100 profit is real!
The 6 months is real!
Ah, it is the âperfectâ company that is not real. But, folks, the part about the investment being good unless the company loses 25% of it value in one day â that is more real than you can presently imagine. Now, what about these âgizmosâ? How can I buy one? Or ten gizmos? Or a hundred gizmos?
Thatâs what this book is all about.
I hope you enjoy it.
This is an Electronic Book. It will be emailed to you shortly after payment is received. When you receive the book, you will have 10 days to examine the book, and if you are dissatisfied for any reason you simply request a full refund of the purchase price.
This book is based firmly on my real-world experience, not theories. I work with âgizmosâ almost everyday.
Who would benefit from this book? Who wouldnât?
Buying the book is a good start, but of course, actually READING it is what makes this work.
The Maximum risk to try out the strategy is only about 400 bucks.
You can work full time and do this.
You can be a stay-at âhome Mom, or Dad, or retiree (like me), or handicapped, or just lazy âbut you still have to be SMART and have a computer, and be willing to learn how to use new tools.
This E-book is the first volume of a two-volume set.
Note: a Windows based PC is required. The book is an .exe file. A CD containing the e-book file can be available by email special request to rafpilot77-ebook@yahoo.com at
And I mean, cummon. You say you visited the option forum on ET for awhile? Didn't you know this "amazing secret method" would be ripped to shreds?
Sorry, man. You seem like a stealth spammer.
Hope I'm wrong.
http://cgi.ebay.com/Smart-Peoples-G...QcategoryZ3784QQcmdZViewItem#ebayphotohosting
The Smart Peopleâs Guide to High Yield Investing, Vol 1.
An incredible new investment strategy that makes VERY HIGH ANNUAL YIELDS a realistic and attainable goal for average folks, like you and me. Investment safety is UNMATCHED when the strategy is properly implemented.
Iâm writing this small (but very intense) book for people like me, just average people who have been screwed by our stockbrokers so many times we think itâs normal. Our investments are either losing money or barely staying ahead of inflation. We are not likely to get a pension from any company, so how are we to achieve a comfortable retirement? The President tells us we need self-directed saving plans. Well, we think, thatâs just fine â but if the so-called professional investment brokers canât, or wonât, make our savings grow, how are we to find the time to learn how to become great stock-pickers and investment gurus? We have jobs, families and problems that we need to deal with now!
Think about this hypothetical situation:
You give a broker $400 plus $1.50 commission to âbuyâ for you a gizmo.
So your cost is exactly $401.50 to buy this gizmo.
Now, six months later the gizmo just disappears, and $500 suddenly appears in your account. Wow, you have made nearly 25% profit in six months, hypothetically of course.
The only thing that would prevent you from collecting the $500 is if the stock price of Gizmo, Inc suddenly lost 25% of its value in one really bad day. (Gizmo, Inc is well known as the largest, most profitable corporation in the whole world, with a market capitalization of 4.6 trillion dollars, and a P/E ratio of 10.)
Read those two previous paragraphs again, and really think about it. Iâm saying you can make a 25% profit in six months â thatâs 50% per year, Right? And Iâm saying that if this gigantically strong company doesnât loose 25% of its stock price during this six month interval, then you will absolutely make that profit.
So decide right now, would you spend that $401.50 under these hypothetical circumstances or not? If you decide you would not, then stop reading right now. I canât help you.
Well, you say while wearing a very skeptical expression, âThis is the real world, very much NOT hypotheticalâ. Yes, Ladies and Gentlemen, it is the real world. So, in this real world, what is there about this hypothetical situation that is not real?
Well, the $400 investment is real!
The $1.5 commission is real!
The $500 return and $100 profit is real!
The 6 months is real!
Ah, it is the âperfectâ company that is not real. But, folks, the part about the investment being good unless the company loses 25% of it value in one day â that is more real than you can presently imagine. Now, what about these âgizmosâ? How can I buy one? Or ten gizmos? Or a hundred gizmos?
Thatâs what this book is all about.
I hope you enjoy it.
This is an Electronic Book. It will be emailed to you shortly after payment is received. When you receive the book, you will have 10 days to examine the book, and if you are dissatisfied for any reason you simply request a full refund of the purchase price.
This book is based firmly on my real-world experience, not theories. I work with âgizmosâ almost everyday.
Who would benefit from this book? Who wouldnât?
Buying the book is a good start, but of course, actually READING it is what makes this work.
The Maximum risk to try out the strategy is only about 400 bucks.
You can work full time and do this.
You can be a stay-at âhome Mom, or Dad, or retiree (like me), or handicapped, or just lazy âbut you still have to be SMART and have a computer, and be willing to learn how to use new tools.
This E-book is the first volume of a two-volume set.
Note: a Windows based PC is required. The book is an .exe file. A CD containing the e-book file can be available by email special request to rafpilot77-ebook@yahoo.com at
i've sent out a few copies of my document to people who requested it. I haven't taken a penny from anybody on ET, and I never will, as long as I remain a member. This thing is in draft form and I am exposing it to peer review at my peril, and mostly for the novices who are curious about the subject. The path I took, and most of us took, to learn how to use options was difficult, filled with conflicting and confusion information. I don't believe that is necessarily the best way for novices to be exposed to options trading.
When I tell my friends about what I'm doing, they don't have a clue what I'm talking about, but they all understand it in about one-half hour when I explain it to them. My friend nuggo is the first of my friends that actually wanted to learn how to do this, and that is how this document came about.
If anybody finds any dangerously misleading information in the document, or any untruthful statements, post it here.
I'm not proud of everything I wrote, my little GIZMO story was maybe not the best introduction.
For those who want use vertical spreads I hope this thread can offer information on methodology from contributers who want to want to disscuss techniques and helpful information.
When I tell my friends about what I'm doing, they don't have a clue what I'm talking about, but they all understand it in about one-half hour when I explain it to them. My friend nuggo is the first of my friends that actually wanted to learn how to do this, and that is how this document came about.
If anybody finds any dangerously misleading information in the document, or any untruthful statements, post it here.
I'm not proud of everything I wrote, my little GIZMO story was maybe not the best introduction.
For those who want use vertical spreads I hope this thread can offer information on methodology from contributers who want to want to disscuss techniques and helpful information.
lol.. just repackaged Fontanills stuff. deep ITM vertical bull call spread is a covered call like strategy. Makes money when market goes up or somewhat sideways, loses money when market falls.
There......summarized the whole e-book for free
There......summarized the whole e-book for free
Just keep things free or you will bring forth the reign of the ET gods upon you and thou shall be smited... lol
URSA - what is FA? Something about position analysis I assume?
Just for fun here is a thought, since you brought up bear spreads.
The Black-Scholes equations are used to calculate the value of options, I gather. Big computers, very smart algorithms, almost god-like.
If they are so smart, do they take into consideration somesort of factor for future expectations of the companies' outlook? Or general market conditions? Logically they must don't you think? How else can they judge the value of an option?
Now delta is a spin-off calculation based on option pricing. And delta is used to help determine the odds of an options resulting gain or loss.
So what if the market expectation for a particular stock is downtrending. A guy would short the stock, right?
But the option pricing just goes along pricing options in the future always higher with increasing time.
If a stock is trending down, for a significant time, and the the may option ATM for that stock is $7, wouldn't you expect the July option to be less? But it never is.
So what is the implication of that apparent anomaly for bear spread option traders? Huh?
Just for fun here is a thought, since you brought up bear spreads.
The Black-Scholes equations are used to calculate the value of options, I gather. Big computers, very smart algorithms, almost god-like.
If they are so smart, do they take into consideration somesort of factor for future expectations of the companies' outlook? Or general market conditions? Logically they must don't you think? How else can they judge the value of an option?
Now delta is a spin-off calculation based on option pricing. And delta is used to help determine the odds of an options resulting gain or loss.
So what if the market expectation for a particular stock is downtrending. A guy would short the stock, right?
But the option pricing just goes along pricing options in the future always higher with increasing time.
If a stock is trending down, for a significant time, and the the may option ATM for that stock is $7, wouldn't you expect the July option to be less? But it never is.
So what is the implication of that apparent anomaly for bear spread option traders? Huh?